Confirmation of the Dutchman's return to Stamford Bridge is expected in the next few days after he negotiates an exit deal with the Turkish national side.
Internazionale midfielder Sneijder is being pursued by Man Utd in a £30 million deal, but The Mirror claims that Hiddink is urging Blues owner Roman Abramovich to mount a better offer.
Speaking to the BBC yesterday, a senior Turkish source confirmed that Hiddink had quit. "Chelsea is too good an offer to turn down and the Federation understands this. Hiddink feels he still has a job to do there. He wants to work every day and win championships and maybe the Champions League."
Yesterday, sacked Chelsea manager Carlo Ancelotti announced that he would be taking a year out from management.